Five bidders on shortlist
After 230 organisations registered their interest, CIT, Delancey, Howard de Walden, Ridgeford and St George have all made the cut for the second round of bids, which are now being considered.
Winning bid will be announced summer 2013
The final stage in the bidding process comes at the end of April, when three bidders will be selected to work with Westminster planners to put together a pre-application submission. The winning bidder will then be selected and announced this summer.
London’s most popular shopping and dining streets
Westminster City Council anticipated widespread interest in the site given the recent resurgence of Marylebone High Street, which has gone from a retail backwater to one of London’s most popular shopping and dining streets in the space of two decades. The transformation of the street can be attributed to a careful strategy of building a mixed and attractive retail and restaurant offer, focused on quality independent retailers alongside selected flagships.
The effects have been dramatic, not least on the residential market. The area has been accepted by many commentators as part of prime central London. Prices for apartments around Marylebone High Street and the W1H postcode area averaged at £1.04m for the first half of 2012. This represents a 60% increase on the £650,845 listed for 2008. The best locations in Marylebone are now achieving in the region of £2,000 per sq ft.
Mixed-use development opportunity
Cllr Jonathan Glanz, Westminster City Council’s Cabinet Member for Housing and Property, said: “This site presents a fantastic opportunity for the creation of much needed new homes, shops and community facilities for the area, in a flagship mixed-use development which will be a fantastic addition to Marylebone.
“We think that the sensible redevelopment of this site could help to lift property prices in the area; while providing community space for local residents.”
London market still strong
Tim Shaw, Director of Public Sector said: “We have established a short list, each of whom have a wealth of expertise and experience to deliver a superb new destination in London’s West End.”
The prime central London residential market has performed exceptionally well over the past three years following the global credit crisis with prices rising by almost 40%. But the top end of the London market has also performed well in the long term seeing average capital growth of 9.4% each year over the past 20 years.
New schemes worthy of note where pricing benchmarks are being set in prime central London residential market are One Hyde Park and The Lancasters – where the highest quoting price of £16.5m equates to £3,792 per sq ft.
LSH has jointly acted on behalf of Westminster City Council.